Medicare Part A Hospital Insurance Trust Fund is already running a cash deficit

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From: The Concord Coalition

WASHINGTON BUDGET REPORT: May 18, 2009

Trustees Report Shows Medical Hospital Fund Already in the Red

Medicare is a national health insurance entitlement program for Americans 65 and older. The program also covers workers who have become disabled. The program has four parts:

• Part A Hospital Insurance, financed primarily by current workers' payroll taxes (1.45% payed by current employers and employees), covers hospital services, post-hospital services, and hospice care.
• 
  Part B Supplementary Medical Insurance, financed primarily by general tax revenues (as well as premiums and copayments), provides optional coverage for physician services, outpatient hospital care, home health care and medical equipment.
• 
  Part C "Medicare Advantage" provides managed care options for beneficiaries enrolled in Parts A and B.
• 
  Part D Prescription Drug Coverage, financed by general tax revenues and premiums, provides optional drug coverage for the elderly and disabled.

HI Trust Fund already running a cash deficit.--The 2009 Trustees Report found that Medicare's Hospital Insurance Trust Fund already paid out more in benefits last year, than it received in cash income.

Moreover, cash deficits will continue to grow due to the rapid increase in health care costs and the retirement of the baby boom generation.

Part A Trust Fund Income in 2008*: $215 billion. Outgo during 2008: $236 billion.

SMI Trust Fund: Medicare Part B and Part D comprise the Supplementary Medical Insurance (SMI) Trust Fund. However, since general revenues are automatically pumped into this "trust fund" to cover expenditures not paid for by premiums and copayments, it is not a trust fund in any meaningful sense. This stands in contrast to the HI Trust Fund, which is financed by a dedicated revenue source (primarily payroll taxes).

*(Excluding interest from the Treasury, which is simply an intragovernmental transfer)

2009 Medicare Trustees Report


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Bring single-payer health care to the debate in Washington

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From: Single Payer Action

Ralph Nader: Disruption of Congress?

May 6, 2009

Yesterday morning, eight doctors, lawyers and other activists stood up to Senator Max Baucus.
And the private health insurance industry.
And the corporate liberals in Congress.
The eight activists demanded that single payer - everybody in, nobody out, free choice of doctor and hospital - be put on the table.
And as a result they were arrested.
And charged with a so-called “disruption of Congress.”
The Associated Press, Wall Street Journal, Politico, Democracy Now and National Public Radio all carried stories about the protest.
C-Span carried it live.
And it was widely disseminated on the Internet.
Baucus crafted a hearing to kick off the health care debate in the Senate yesterday where 15 witnesses would be at the table to discuss health care reform.
The insurance industry was at the table.
The Business Roundtable was at the table.
The U.S. Chamber of Commerce was at the table.
Blue Cross Blue Shield was at the table.
The Heritage Foundation was at the table.
And corporate liberals like Andy Stern, Ron Pollack, and AARP were at the table.
But not one person who stood for what the majority of Americans, doctors, nurses, and health economists want - single payer - was at the table.
Not one.
When I heard about this corporate line-up last week, I called the office of Senator Baucus.
And politely asked that, as a matter of fairness, a single payer doctor be allowed to testify.
I was told - no way, Ralph.
The deal is done.
So, yesterday, at 10 a.m., the Baucus Eight, led by Single Payer Action and other single payer groups, took to the Senate Finance Committee.
And directly and respectfully confronted a room full of corporate lobbyists.
And corporate controlled Senators.
And again asked that a group of doctors who were in the room to support Medicare for all be allowed to testify.
The answer again - no, no, and no.
Remember what Senator Richard Durbin said last week?
Durbin said that the banks “own” the Congress.
To which we might add - the health insurance industry and the drug industry own the Senate.
Faxing, writing, and e-mailing is not getting it done.
Enough is enough.
Time for action.
This is a winnable issue.
But the American people need to focus on 535 members of Congress.
And get mobilized.
Single Payer Action is at your service to get the job done.
So, donate now — $8, $18, $80, or $800.
To honor the Baucus Eight - who all wore black yesterday in memory of the more than 20,000 Americans who - according to the Institute of Medicine - die every year from lack of health insurance.
And to fuel a citizen action movement that will deliver single payer to the American people - sooner not later.
Together, we can break the corporate stranglehold on Congress.
And deliver health care for all.
Single payer.
More comprehensive. More efficient. More humane. More peace of mind.
Let’s get it done.

Onward to single payer,
Ralph Nader

PS: Remember, if you donate $100 or more by May 14, 2009, we will send you two galvanizing books that concisely detail the case for single payer in America.
* Health Care Meltdown by Robert LeBow, MD, revised and updated by Dr. C. Rocky White - a Republican doctor so fed up with the needless suffering caused by the insurance industry that he become a leading advocate for single payer.
and
* Ten Excellent Reasons for National Health Care, Edited by Mary O’Brien and Martha Livingston.
This two-book offer ends 11:59 p.m. May 14, 2009.
So don’t miss out.
Donate now.

We’re building one million Americans strong for single payer.
Please share this message with friends and family.


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